Data Stream in Data Analytics

Data stream refers to the continuous flow of data generated by various sources in real-time. It plays a
crucial role in modern technology, enabling applications to process and analyze information as it
arrives, leading to timely insights and actions.
In this article, we are going to discuss concepts of the data stream in data analytics in detail what
data streams are, their importance, and how they are used in fields like finance, telecommunications,
and IoT (Internet of Things).
Introduction to stream concepts
A data stream is an existing, continuous, ordered (implicitly by entrance time or explicitly by
timestamp) chain of items. It is unfeasible to control the order in which units arrive, nor it is
feasible to locally capture stream in its entirety.
It is enormous volumes of data, items arrive at a high rate.
Types of Data Streams
 Data stream –
A data stream is a(possibly unchained) sequence of tuples. Each tuple comprised of a set of
attributes, similar to a row in a database table.
 Transactional data stream –
It is a log interconnection between entities
1. Credit card – purchases by consumers from producer
2. Telecommunications – phone calls by callers to the dialed parties
3. Web – accesses by clients of information at servers
 Measurement data streams –
1. Sensor Networks – a physical natural phenomenon, road traffic
2. IP Network – traffic at router interfaces
3. Earth climate – temperature, humidity level at weather stations
Examples of Stream Sources
1. Sensor Data –
In navigation systems, sensor data is used. Imagine a temperature sensor floating about in the
ocean, sending back to the base station a reading of the surface temperature each hour. The data
generated by this sensor is a stream of real numbers. We have 3.5 terabytes arriving every day and
we for sure need to think about what we can be kept continuing and what can only be archived.
2. Image Data –
Satellites frequently send down-to-earth streams containing many terabytes of images per day.
Surveillance cameras generate images with lower resolution than satellites, but there can be
numerous of them, each producing a stream of images at a break of 1 second each.
3. Internet and Web Traffic –
A bobbing node in the center of the internet receives streams of IP packets from many inputs and
paths them to its outputs. Websites receive streams of heterogeneous types. For example, Google
receives a hundred million search queries per day.
Characteristics of Data Streams
1. Large volumes of continuous data, possibly infinite.
2. Steady changing and requires a fast, real-time response.
3. Data stream captures nicely our data processing needs of today.
4. Random access is expensive and a single scan algorithm
5. Store only the summary of the data seen so far.
6. Maximum stream data are at a pretty low level or multidimensional in creation, needs multilevel
and multidimensional treatment.
Applications of Data Streams
1. Fraud perception
2. Real-time goods dealing
3. Consumer enterprise
4. Observing and describing on inside IT systems
Advantages of Data Streams
 This data is helpful in upgrading sales
 Help in recognizing the fallacy
 Helps in minimizing costs
 It provides details to react swiftly to risk
Disadvantages of Data Streams
 Lack of security of data in the cloud
 Hold cloud donor subordination
 Off-premises warehouse of details introduces the probable for disconnection
What is Stream Processing/Computing?
Stream processing is a technique that helps analyze and process large amounts of real-time data
as it flows in from various sources. Stream processing involves processing data continuously as it
is generated, Unlike traditional methods that handle data in batches, stream processing works
with data as it arrives, making it possible to derive insights, trigger actions, and update systems
instantaneously.
This technology is essential for applications that require real-time data analysis and immediate
responses, in social media , real-time analysis of viewer behavior helps media companies
personalize content recommendations, in financial trading, stream processing can analyze market
data in real-time to execute trades instantly. In fraud detection, it can spot suspicious activities as
they happen, preventing fraud before it causes damage.
Stream processing is a technique of data processing and management which uses a continuous data
stream and analyzes, transforms, filter, or enhance it in real-time. Once processed, the data is sent to
an application, data storage, or another stream processing engine. Stream processing engines enable
timely decision-making and provide insights as data flows in, making them crucial for modern, data-
driven applications. It is also known by several names, including real-time analytics, streaming
analytics, Complex Event Processing, real-time streaming analytics, and event processing.
Although various terminologies have previously differed, tools (frameworks) have converged under
the term stream processing.

How Does Stream Processing Work?

 Data Collection: Data is continuously collected from various sources like sensors, social media, or
financial transactions.
 Data Ingestion: The incoming data is ingested into the stream processing engine without waiting
to accumulate large batches.
 Real-Time Processing: Each piece of data is immediately analyzed and processed as it arrives.
 Data Transformation: The engine may transform the data, such as filtering, aggregating, or
enriching it with additional information.
 Immediate Insights: The processed data provides real-time insights and results.
 Instant Actions: Based on the insights, the system can trigger instant actions or responses,
ensuring timely decision-making.
 Output: The results are outputted to various destinations, such as dashboards, databases, or alert
systems, for further use or analysis.
 Stream Processing Architecture
There are several types of stream processing architectures, each designed to handle real-time data in
different ways. Here are the main types:
Event Stream Processing (ESP):
 Definition: Event Stream Processing focuses on real-time processing and analysis of continuous
streams of events or data records. It involves capturing, processing, and reacting to events as they
occur, typically in milliseconds or seconds.
 Use Case: ESP is used for applications requiring immediate responses to events, such as real-time
monitoring, fraud detection, and IoT data processing.
Message-Oriented Middleware (MOM):
 Definition: Message-Oriented Middleware facilitates communication between distributed systems
by managing the exchange of messages. It ensures reliable delivery, messaging patterns (like
publish-subscribe), and integration across heterogeneous systems.Use Case: MOM is essential for
asynchronous communication and integration in applications like enterprise messaging,
microservices architectures, and systems requiring decoupling of components.
Complex Event Processing (CEP)
 Definition: Complex Event Processing involves analyzing and correlating multiple streams of data
to identify meaningful patterns or events. It focuses on detecting complex patterns within streams
in real-time or near real-time.
 Use Case: CEP is used for applications requiring high-level event pattern detection, such as
algorithmic trading, operational intelligence, and dynamic pricing in retail.
Data Stream Processing (DSP)
 Definition: Data Stream Processing involves processing and analyzing continuous data streams to
derive insights and make decisions in real-time. It includes operations like filtering, aggregation,
transformation, and enrichment of streaming data.Use Case: DSP is used in various applications,
including real-time analytics, sensor data processing, financial market analysis, and monitoring
systems.
Lambda Architecture for stream processing :
 Definition: Lambda Architecture is a hybrid approach combining batch and stream processing
techniques to handle large-scale, fast-moving data. It uses both real-time stream processing and
batch processing to provide accurate and timely insights.
 Use Case: Lambda Architecture is applied in systems requiring both real-time analytics and
historical data analysis, such as social media analytics, recommendation engines, and IoT
platforms.

Kappa Architecture for stream processing:

 Definition: Kappa Architecture is an evolution of Lambda Architecture that simplifies the data
pipeline by using only stream processing for both real-time and batch data processing. It
emphasizes using stream processing platforms as the core for data processing.
 Use Case: Kappa Architecture is suitable for scenarios where simplicity, scalability, and unified
processing of real-time and historical data are critical, such as real-time analytics, IoT data
processing, and log analysis.

Each of these architectures is designed to address specific needs and challenges in stream processing,
allowing organizations to choose the best approach for their particular use cases and requirements.